MSP Acquisition Tax Calculator

Thinking about selling your managed service provider (MSP) business in the United States? Use this free after-tax compensation calculator to estimate how much you might keep after federal, state, and capital gains taxes. It is particularly helpful to analyze the difference in after-tax compensation for an asset sale compared to a share sale. This tool is designed to provide a general estimate only. Every seller’s tax situation is different, so we recommend consulting a qualified CPA or tax advisor before making any decisions.

MSP After-Tax Compensation Calculator

Choose 'Asset Sale' if the buyer is purchasing individual assets and liabilities of your business. Choose 'Share Sale' if they are buying your company’s shares or legal entity. Most MSP acquisitions are done as Asset Sales.
C-Corporations are double taxed at both the corporate and shareholder levels. Select 'Yes' only if your business files as a C-Corp with the IRS.
Enter the total expected proceeds from the sale, including upfront payment, earnouts, and holdbacks.
$
Choose your personal federal income tax rate based on your income bracket. Applies to ordinary income portion. View IRS rates
Enter your state income tax rate. Applies to ordinary income. View rates
%
Choose your long-term capital gains rate. Learn more
Applies if income exceeds thresholds. Check NIIT rules
Enter your state capital gains rate, or 0 if none. View rates
%

MSP Valuation Calculator

If you are curious about what the market value of your MSP may be, check out our MSP Valuation Calculator for an estimated valuation based on just a handful of key variables.

Limitations

This tax calculator is provided for informational and illustrative purposes only and should not be construed as legal, tax, or financial advice. The estimates generated by this tool are based on the inputs provided by the user, including but not limited to whether the transaction is structured as an asset sale or an equity sale. These results are general in nature and may not reflect the actual tax consequences applicable to your specific situation.

Tax laws and regulations are complex and subject to change. The outcomes of any real-world transaction may vary significantly based on numerous factors not accounted for in this calculator, including jurisdictional differences, special elections, adjustments, and individual or business-specific considerations.

You should consult with a qualified tax advisor, accountant, or legal professional before making any decisions based on the results of this calculator. By using this tool, you acknowledge and agree that neither the developers nor the providers of this calculator are responsible for any errors or omissions, or for any results obtained or decisions made based on its use.